Key Takeaways
- In 2022, the U.S. auto salvage industry generated $14.5 billion in revenue, marking a 4.2% increase from 2021 driven by rising scrap metal prices.
- Globally, the automotive recycling market was valued at $52.3 billion in 2023, projected to reach $78.9 billion by 2030 at a CAGR of 6.1%.
- The North American auto salvage sector processed vehicles worth $10.2 billion in dismantled parts sales in 2021.
- The U.S. auto salvage industry recycled 95% of vehicle materials by weight in 2022, totaling 25 million tons.
- In 2021, North American recyclers processed 12.3 million end-of-life vehicles (ELVs).
- Europe recycled 8.5 million ELVs in 2022, recovering 2.4 million tons of steel.
- U.S. auto salvage yards employed 52,000 workers in 2022, per BLS data.
- The industry had 6,200 establishments in the U.S. in 2023, employing average 8.4 per site.
- Average hourly wage for auto salvage workers in U.S. was $18.75 in 2022.
- U.S. auto salvage recycling diverts 35 million tons of materials from landfills annually.
- Recycling one vehicle saves energy equivalent to 1,500 gallons of gasoline.
- Auto salvage reduces CO2 emissions by 10.5 million metric tons per year in U.S.
- U.S. auto salvage industry contributes $5.1 billion to GDP annually.
- Exports of recycled auto metals reached $2.3 billion from U.S. in 2022.
- Salvage parts sales account for 45% of industry revenue, totaling $6.5 billion in 2022.
The global auto salvage industry is large and growing, boosted by recycling and parts sales.
Economic Contributions
- U.S. auto salvage industry contributes $5.1 billion to GDP annually.
- Exports of recycled auto metals reached $2.3 billion from U.S. in 2022.
- Salvage parts sales account for 45% of industry revenue, totaling $6.5 billion in 2022.
- The sector supports 120,000 indirect jobs through supply chain in U.S.
- Average profit margin in U.S. auto salvage was 6.8% in 2023.
- Scrap metal sales generated $7.2 billion for U.S. yards in 2022.
- UK's auto recycling contributes £1.2 billion to economy, 0.07% of GDP.
- Investment in auto salvage tech reached $450 million globally in 2023.
- U.S. industry tax contributions totaled $1.8 billion in federal taxes 2022.
- Reuse of salvage parts saves consumers $20 billion annually in repair costs.
- Canadian sector adds CAD 2.4 billion to GDP via recycling.
- U.S. industry state/local tax revenue $900 million 2022.
- Supply chain multiplier effect: $3.2 indirect per $1 direct revenue.
- Used parts market $12 billion, 20% from salvage yards.
- R&D spend 1.2% of revenue, $175 million total.
- Export growth 15% YoY for recycled auto parts 2023.
- Cost savings to insurers $4.5 billion via salvage reuse.
- ROI on dismantling equipment averages 18 months.
- Consumer savings $1,200 avg per salvage part purchase.
- Sector venture capital $120 million in 2023 startups.
Economic Contributions Interpretation
Employment Statistics
- U.S. auto salvage yards employed 52,000 workers in 2022, per BLS data.
- The industry had 6,200 establishments in the U.S. in 2023, employing average 8.4 per site.
- Average hourly wage for auto salvage workers in U.S. was $18.75 in 2022.
- Globally, 250,000 people are employed in automotive recycling as of 2023.
- In California, 4,500 workers in auto salvage yards, with 12% growth since 2018.
- U.S. industry labor productivity rose 2.1% to $285,000 per worker in 2022.
- Europe employs 150,000 in ELV recycling, with 40% in dismantling operations.
- Texas auto salvage sector had 7,200 jobs in 2021, average salary $39,500.
- 25% of U.S. auto salvage workers are skilled mechanics or technicians in 2023.
- Australia's industry employs 3,800, with 15% female workforce participation.
- Occupational injury rate in U.S. auto salvage was 3.2 per 100 workers in 2022.
- Canada has 2,100 auto recyclers employing 12,000 total.
- 28% of U.S. workforce in auto salvage over age 45 in 2022.
- Training hours per employee averaged 40 annually in EU yards.
- Florida employs 3,200 in sector, highest state employment.
- Turnover rate 14.5% in U.S. auto salvage 2022.
- 18% growth in mechanic jobs in salvage since 2015.
- Germany: 35,000 employed, avg wage €48,000.
- Part-time workers 22% of total U.S. employment.
- Union membership 8.2% in U.S. auto salvage.
- New hires 2022: 7,500 in U.S. industry.
- Safety training compliance 97% in certified yards.
Employment Statistics Interpretation
Environmental Benefits
- U.S. auto salvage recycling diverts 35 million tons of materials from landfills annually.
- Recycling one vehicle saves energy equivalent to 1,500 gallons of gasoline.
- Auto salvage reduces CO2 emissions by 10.5 million metric tons per year in U.S.
- 88% of vehicle fluids like oil and coolant are recycled, preventing groundwater contamination.
- Recycling auto steel uses 74% less energy than producing new steel.
- EU ELV recycling avoids 1.2 million tons of CO2 equivalent emissions yearly.
- U.S. industry recycles 99% of lead-acid batteries from vehicles.
- Salvaging cars conserves 14 million barrels of oil annually through parts reuse.
- Plastic recovery from ELVs totals 500,000 tons/year in North America, reducing virgin plastic use.
- Auto recycling landfill diversion rate is 95%, highest among waste streams.
- Mercury switches removed from 20 million vehicles since 2003, preventing 1.2 tons Hg release.
- Global auto salvage prevents 85 million trees from being cut for new materials.
- Vehicle recycling saves 80% water vs. new production.
- Reduces mining needs by 14 million tons ore/year U.S.
- 4.5 million tons GHG avoided via parts reuse.
- 100% recyclable fluids prevent 500,000 tons soil contamination.
- Aluminum recycling saves 95% energy, 1.9 million tons saved.
- Battery recycling diverts 99% lead from environment.
- Plastics recycling cuts 1.2 million tons CO2 in EU.
- Tire recycling prevents 400,000 landfill acres.
- Overall, industry GHG reduction equals 2 million cars off road.
- Zero landfill for steel in 85% U.S. yards.
Environmental Benefits Interpretation
Market Size and Growth
- In 2022, the U.S. auto salvage industry generated $14.5 billion in revenue, marking a 4.2% increase from 2021 driven by rising scrap metal prices.
- Globally, the automotive recycling market was valued at $52.3 billion in 2023, projected to reach $78.9 billion by 2030 at a CAGR of 6.1%.
- The North American auto salvage sector processed vehicles worth $10.2 billion in dismantled parts sales in 2021.
- U.S. auto wrecking establishments reported average revenue of $2.1 million per business in 2022.
- The European auto recycling market size stood at €28.4 billion in 2022, with Germany leading at 35% share.
- In 2023, the U.S. auto salvage industry market share held by top 4 companies was 12.5%.
- Australia's auto dismantling industry revenue reached AUD 1.2 billion in 2022, up 3.8% YoY.
- The global scrapped vehicle recycling market grew by 5.7% from 2021 to 2022, reaching $45.6 billion.
- U.S. auto salvage yards saw enterprise growth of 1.8% in number of businesses from 2021-2022.
- In 2022, the UK's vehicle recycling sector generated £3.1 billion, with a 4% CAGR over five years.
- In 2022, U.S. auto salvage yards numbered 6,450, up 0.5% from prior year.
- China’s auto recycling market valued at RMB 120 billion in 2023.
- India's nascent auto salvage industry hit INR 15,000 crore in 2022.
- Mexico processed ELVs worth $1.2 billion USD equivalent in 2022.
- South Korea's market grew 7.2% to KRW 4.5 trillion in 2023.
- France auto recycling revenue €5.8 billion, 22% of EU total.
- Profit per employee in U.S. auto salvage averaged $112,000 in 2022.
- Global CAGR for auto recycling projected at 5.9% through 2028.
- Brazil market size $2.1 billion, growing 8% YoY in 2023.
- U.S. salvage vehicle auctions generated $8.7 billion in 2022.
Market Size and Growth Interpretation
Recycling Volumes
- The U.S. auto salvage industry recycled 95% of vehicle materials by weight in 2022, totaling 25 million tons.
- In 2021, North American recyclers processed 12.3 million end-of-life vehicles (ELVs).
- Europe recycled 8.5 million ELVs in 2022, recovering 2.4 million tons of steel.
- U.S. auto salvage yards extracted 4.2 billion pounds of ferrous scrap from vehicles in 2023.
- Globally, 85% of an average car's weight, or 3,200 pounds per vehicle, is recyclable.
- In 2022, Canadian auto recyclers handled 1.1 million ELVs, diverting 95% from landfills.
- U.S. industry recovered 1.8 million tons of aluminum from autos in 2021.
- Japan recycled 4.7 million tons of auto materials from 2.2 million ELVs in 2022.
- Australian yards processed 450,000 ELVs in 2022, yielding 1.2 million tons of scrap.
- In 2023, EU-27 recycled 92.5% of ELV materials by weight, per Directive 2000/53/EC.
- U.S. auto salvage recovered 700 million pounds of copper wiring from vehicles in 2022.
- Brazil's auto recycling sector dismantled 300,000 vehicles, recovering 800,000 tons in 2021.
- The industry extracts 150 million tires from ELVs annually worldwide.
- In 2022, U.S. recyclers salvaged 2.5 million catalytic converters, extracting platinum group metals.
- UK processed 1.4 million ELVs in 2022, with 86% reuse/recycle rate.
- In 2023, U.S. processed 11.8 million ELVs, down 2% from peak.
- EU recovered 9.2 million tons steel from ELVs in 2022.
- 1.5 million tons non-ferrous metals recycled from U.S. autos yearly.
- Glass from vehicles: 200 million pounds recycled annually U.S.
- 95% of airbags deployed are refurbished and reused.
- Japan recovers 98% ELV materials, 2.8 million tons plastics/steel.
- Australia: 500,000 tons ferrous scrap from 480,000 ELVs 2022.
- 450 million gallons of fluids recycled from U.S. ELVs yearly.
- Catalytic converters: 3 million units recycled U.S. 2023.
- Rubber from tires: 1.1 billion pounds recovered globally.
- U.S. yards dismantle 32,000 vehicles daily on average.
Recycling Volumes Interpretation
Sources & References
- Reference 1IBISWORLDibisworld.comVisit source
- Reference 2GRANDVIEWRESEARCHgrandviewresearch.comVisit source
- Reference 3AUTORECYCLERSautorecyclers.orgVisit source
- Reference 4EUROSTATeurostat.ec.europa.euVisit source
- Reference 5MARKETSANDMARKETSmarketsandmarkets.comVisit source
- Reference 6BLSbls.govVisit source
- Reference 7GOVgov.ukVisit source
- Reference 8ISRIisri.orgVisit source
- Reference 9EURORECYCLEeurorecycle.comVisit source
- Reference 10EPAepa.govVisit source
- Reference 11APMAapma.caVisit source
- Reference 12ALUMINUMaluminum.orgVisit source
- Reference 13ENVenv.go.jpVisit source
- Reference 14MTAmta.org.auVisit source
- Reference 15ECec.europa.euVisit source
- Reference 16COPPERcopper.orgVisit source
- Reference 17ANFAVEAanfavea.com.brVisit source
- Reference 18USTIRESustires.orgVisit source
- Reference 19AUTOCATALYSTMARKETautocatalystmarket.infoVisit source
- Reference 20CENSUScensus.govVisit source
- Reference 21BIRbir.orgVisit source
- Reference 22LABORMARKETINFOlabormarketinfo.edd.govVisit source
- Reference 23EADead.euVisit source
- Reference 24TWCtwc.texas.govVisit source
- Reference 25ABSabs.gov.auVisit source
- Reference 26STATCANstatcan.gc.caVisit source
- Reference 27STEELsteel.orgVisit source
- Reference 28BATTERYRECYCLINGbatteryrecycling.comVisit source
- Reference 29NRELnrel.govVisit source
- Reference 30PLASTICSRECYCLINGplasticsrecycling.orgVisit source
- Reference 31BEAbea.govVisit source
- Reference 32MCKINSEYmckinsey.comVisit source
- Reference 33IRSirs.govVisit source
- Reference 34ICic.gc.caVisit source
- Reference 35CHINAAUTORECYCLINGchinaautorecycling.orgVisit source
- Reference 36SIAMsiam.inVisit source
- Reference 37INEGIinegi.org.mxVisit source
- Reference 38KOREARECYCLEkorearecycle.krVisit source
- Reference 39ADEMEademe.frVisit source
- Reference 40FORTUNEBUSINESSINSIGHTSfortunebusinessinsights.comVisit source
- Reference 41ABENDVabendv.com.brVisit source
- Reference 42IAAIiaai.comVisit source
- Reference 43Visit source
- Reference 44GPIgpi.orgVisit source
- Reference 45AIRBAGRECYCLINGairbagrecycling.comVisit source
- Reference 46METImeti.go.jpVisit source
- Reference 47STEELsteel.org.auVisit source
- Reference 48RUBBERRECYCLERSrubberrecyclers.orgVisit source
- Reference 49FDOLISfdolis.comVisit source
- Reference 50DESTATISdestatis.deVisit source
- Reference 51WATERFOOTPRINTwaterfootprint.orgVisit source
- Reference 52USGSusgs.govVisit source
- Reference 53IPCCipcc.chVisit source
- Reference 54PLASTICS-EUROPEplastics-europe.orgVisit source
- Reference 55RMArma.orgVisit source
- Reference 56STEELRECYCLINGsteelrecycling.orgVisit source
- Reference 57AFTERMARKETNEWSaftermarketnews.comVisit source
- Reference 58TRADEtrade.govVisit source
- Reference 59IIIiii.orgVisit source
- Reference 60EQUIPMENTWORLDequipmentworld.comVisit source
- Reference 61CARFAXcarfax.comVisit source
- Reference 62CBINSIGHTScbinsights.comVisit source





